The electronics market is suffering from competition from online retailers. As a result, companies are increasingly trying to lure customers into their businesses with more and more new offers. Media Markt now relies on machines from the US company EcoATM. These were placed in a total of ten German branches and have a special ability: they can determine the value of a used smartphone within two minutes. Customers can put their old device in the slot of the machine and then receive a concrete offer on site. Anyone who gets involved, however, gets no cash, but a shopping voucher from Media Markt. In the United States, the company EcoATM is already very successful.
Even damages are recorded automatically
There, a total of 4,000 such machines collect every week 100,000 old smartphones. These are then processed according to condition and demand and resold or disassembled into their individual parts. Damage to the devices – such as the well-known Spider app on the display – are automatically detected and logically reduce the purchase price. But they are not an exclusion criterion. However, anyone who comes up with the idea of simply putting a brand new model from the store into the machine should be disappointed. This is also recognized and may cause unpleasant questions of employees. On the other side of the spectrum, there are also old smartphones that have no value at all. These devices can be left in the machine. EcoATM will then take care of the proper disposal.
Media Markt has to contend with the online competition
Sufficient potential should be available in German households. The professional association Bitkom estimates that around 124 million mobile phones are no longer in use in this country. There will also be no shortage of supplies: more than 22 million new smartphones are sold each year in Germany alone. Media Markt, however, benefits only conditionally. The electronics chain, which operates 875 stores across Europe, also suffers from falling margins like its sister company Saturn. The parent company Ceconomy therefore had to report an operating loss of 126 million euros last year. Therefore, both chains are currently experimenting very strongly and are trying to attract new customers with innovative ideas. For example, Media Markt tested a delivery robot and also relied on robot Paul for customer advice .